外贸英语函电 Unit 15 Insurance.pptVIP

unit 15 Insurance unit 15 Insurance Introduction of Insurance The export trade is subject to many risks. For example, ships may sink or consignments may be damaged in transit, exchange rates may alter, buyers default or government suddenly impose an embargo, etc. It is customary to insure goods sold for export against the perils of the journey. The cover paid for will vary according to the type of goods and the circumstances. If the exporter has bought insurance for the goods, he will be reimbursed for the losses. unit 15 Insurance The premium charged for the insurance policy is calculated according to the risks involved. A policy which protects the holder against limited risks charges a low premium, and policy which protects against a large number of risks charges a high premium. The insurance value is calculated as: cost of goods + amount of freight + insurance premium + a percentage of profit on the sale of goods. In CIF transactions, we usually effect insurance for 110% of the invoice value, that is to say 100% is for the invoice value and 10% is to cover a profit and some expenses. Sometimes, buyers may request insurances to cover more than 110%. In this case, the extra premium will be paid by buyer. unit 15 Insurance unit 15 Insurance Example 1 The Insurance Information on CIF Offer （介绍CIF术语下的保险信息） Dear Sir, In compliance with your letter of October 14 enquiring about the insurance on our CIF offer for the shipment under S / C WR4566, we wish to give you our insurance practice as follows: For transactions on CIF basis, we usually effect insurance with PICC against All Risks. Of course, we can insure the shipment against any additional risks if you require, and the extra premium is to be borne by you. In such circumstance, we will send you the premium receipt issued by the underwriter. unit 15 Insurance Usually, the amount is 110% of the total invoice value. However, a higher percentage is required, we may do accordingly but you